Africa's richest man's first business was selling sweets at school, now Aliko Dangote is wealthier than China's Jack Ma and Amazon co-founder MacKenzie Scott

Aliko Dangote, Africa’s richest man, has seen his fortune surge following the launch of the initial public offering (IPO) of his $20 billion Dangote Refinery in Nigeria.

According to Forbes’ real-time billionaire index, Dangote’s net worth has jumped from $28.5 billion to $51.3 billion following the refinery’s IPO launch. The sharp increase comes as investors gain access to shares in the massive oil facility, which is being listed on the Nigerian Exchange (NGX).

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Earlier, Bloomberg had estimated that Dangote’s fortune could rise by as much as $23 billion following the offering, potentially taking his net worth to a record $58.2 billion. If reached, that figure would make Dangote wealthier than billionaires such as Jack Ma and MacKenzie Scott and bring him closer to fortunes held by Charles Koch and Mukesh Ambani.

However, Bloomberg’s index has yet to reflect the same increase, currently putting Dangote’s net worth at $35.3 billion. Its latest figures show a valuation change of -$84.7 million and a year-to-date increase of $5.34 billion.

Dangote Refinery IPO

Dangote launched the IPO of his refinery on Monday at the Nigerian Exchange in Lagos, marking the first time the massive refinery has been offered to investors on the Nigerian stock market.

The offering comprises 4.1 billion new ordinary shares priced at ₦525 each. Investors must purchase a minimum of 10 shares, costing ₦5,250.

If fully subscribed, the IPO is expected to raise around ₦2.15 trillion. The offer is scheduled to close on October 13.

The formal launch was marked by Dangote sounding the gong at the Nigerian Exchange, allowing investors to begin purchasing shares in the refinery.

The offering values the refinery’s equity at around ₦63 trillion, or approximately $47.6 billion, according to figures cited by the Financial Times. Dangote is seeking to raise at least $1.6 billion through the offer, equivalent to roughly 3.3% of the refinery.

SUGAR, CEMENT, RICE AND SALT

Born in Nigeria's northern state of Kano in 1957, Dangote was raised principally by his ​maternal grandfather, whom he has credited with encouraging his interest in business.

After graduating from university in ​Egypt, he began trading sugar and rice in 1977 with a loan from a relative.

He incorporated Dangote Industries, in ⁠which he ‌now holds 85%, in the early 1980s, building it into a conglomerate spanning sugar, cement and salt that operates in more than a dozen ​African countries.

Dangote's personal fortune, ​currently estimated at between $31 billion and $35 billion, grew on the back of his lucrative cement business.

Government policies that fostered domestic cement ⁠production helped Nigeria become largely self-sufficient in the essential building material, though they also fuelled criticism that limited competition ​kept prices high.

With wealth came influence.

Already two decades ago, U.S. diplomats ​in a leaked 2005 cable said he was considered an "economic folk hero" by some but was viewed as a "villain" by others, who suspected he used his proximity to politics to further his business

Shunning flashy displays, he often drives himself. And despite periodically threatening to buy his favourite soccer team — London's Arsenal — he prides himself on ‌keeping the bulk of his fortune in Nigeria.


The Iran war's stark exposure of oil-rich but refinery-poor Africa's dependence on fuel imports brought heightened attention to Dangote's stated mission of pushing the continent towards self-sufficiency.

After the conflict sparked concerns over fuel supplies, Kenya approached Dangote about building an East African refinery, according to a person familiar with the discussions.

Two months later, Dangote joined Kenyan and Ugandan leaders to announce the project, which he said will break ground this month.

Dangote Refinery attracts wider African interest

The IPO is initially available to investors in Nigeria, but Dangote has indicated that the refinery could eventually open access to investors across the wider African market.

Stock exchanges in South Africa, Egypt, Ghana, Kenya and Rwanda have reportedly shown interest in providing investors in their respective markets access to the share sale. Discussions have been held with the refinery’s advisers over possible routes for wider participation.

The refinery, one of the world’s largest single-train facilities, currently has a production capacity of 700,000 barrels per day. Dangote plans to double that capacity to 1.4 million barrels per day by 2029, potentially further increasing the refinery’s scale and value.